The initial VAT rate of 20% resulted in controversy across the caravan industry resulting in the Coalition backing down and lowering the rate to 5%.
The caravan tax was first unveiled in the 2012 budget at a rate of 20%. After public pressure and widespread protest campaigns, the Coalition backed down and agreed to only implement a 5% VAT rather than the initial 20%.
The controversy behind this move created the caravan industry to lobby agai...
